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AUD Incentive Program Amendments

AUD Program Background

The AUD Program ordinance was adopted by City Council in July 2013, as a General Plan initiative intended to provide needed residential development, particularly rental units, in the community. The AUD Program encourages housing by allowing increased densities based on unit size: the smaller the average unit size for the project, the greater the density allowed. Additionally, development standard incentives related to parking, setbacks, and open space are provided to help make the construction of additional residential units possible.

In 2017 the City Council directed staff to initiate certain ordinance amendments to Title 30 of the Santa Barbara Municipal Code regarding the AUD Program. The amendments will be completed in multiple parts, as shown below.

AUD Program Amendments In-Progress:

Require two onsite parking spaces for AUD units with three or more bedrooms, in projects located outside of the Central Business District.

Prohibit all units approved under the AUD Program from future conversion to a hotel use.

Address existing mobilehome parks in the AUD Program Boundary.

Potential Future AUD Program Amendments:

Consider allowing increased residential density and other development incentives in the Central Business District.

Consider revising the geographic boundaries of the AUD Program and location of the Priority Housing Overlay.

Consider additional changes to AUD Program parking requirements.

Address the AUD Program initial trial period of eight years or until 250 units are constructed in the High Density or Priority Housing Overlay Areas.

Other procedural actions as directed by the City Council.

The work effort has been split into these phases to expedite the amendments which do not require additional public outreach. Potential future amendments are anticipated to be worked on concurrently, but will have a more in-depth public process, due to their complexity, and therefore a longer time period for completion.

At the same time, the City Attorney and Housing Division staff will work with the Planning Commission to implement City Council direction regarding amendments to Inclusionary Housing requirements, as shown below.

Require AUD Program projects with 10 units or more to provide at least 10% of the units onsite at rental rates affordable to households at the Moderate Income level (80% to 120% of Area Median Income).

Require AUD Program projects with less than 10 units to pay an affordable housing in-lieu fee of up to $20.00 per square foot.

Upcoming Hearing

City Council will be hearing an Ordinance Amending Title 30 of the Santa Barbara Municipal Code Chapter 30.150 regarding residential parking requirements for Average Unit-size Density Incentive Program projects and conversion of Average Unit-size Density Incentive Program projects to hotels or similar uses, and Chapter 30.155 regarding conversion of Average Unit-size Density Incentive Program projects to hotels or similar uses.